$5M of COVID money reappropriated as hazard pay for City employees

HONOLULU (KHON2) — The Honolulu City Council adopted a resolution to re-program $5 million of COVID money that will be used for hazard pay for City employees who worked during the pandemic.

According to City Managing Director Mike Formby, a proposal has been made to SHOPO and HGEA for payments to not be 100% cash.

“We know there’s going to be a delta and we don’t want to go into next year’s budget with a big deficit. So we know there’s going to be a delta so what we’re negotiating is that a portion,” Formby explained.

Instead, the City is proposing the hazard pay to be paid 80% by cash and the remaining 20% by comp time.

Formby announced that the comp time would go to their account “and they can take that over their life in the City.”

According to federal rule, the money must be spent by Sept. 26, 2026.